California Water Service Group (CWT)
Return on assets (ROA)
Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
---|---|---|---|---|---|---|
Net income | US$ in thousands | 51,911 | 96,011 | 101,125 | 96,831 | 63,116 |
Total assets | US$ in thousands | 4,595,530 | 4,264,810 | 3,623,270 | 3,394,250 | 3,111,310 |
ROA | 1.13% | 2.25% | 2.79% | 2.85% | 2.03% |
December 31, 2023 calculation
ROA = Net income ÷ Total assets
= $51,911K ÷ $4,595,530K
= 1.13%
California Water Service Group's return on assets (ROA) has exhibited a declining trend over the past five years, starting at 2.03% in 2019 and decreasing to 1.13% in 2023. This indicates that the company's ability to generate profit from its assets has weakened over this period. The ROA was highest in 2021 at 2.79%, followed by 2020 at 2.85% and 2022 at 2.49%. Despite these fluctuations, the ROA has generally been above 1% in the past five years, suggesting that the company has been able to utilize its assets efficiently to generate a return for its stakeholders. However, the recent decline in ROA may raise concerns regarding the company's profitability and asset management efficiency. Further analysis and understanding of the factors influencing this trend could provide valuable insights into the company's financial performance and prospects.
Peer comparison
Dec 31, 2023